June 18, Advice Letter 3601-E

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1 STATE OF CALIFORNIA ARNOLD SCHWARZENEGGER, Governor PUBLIC UTILITIES COMMISSION 505 VAN NESS AVENUE SAN FRANCISCO, CA June 18, 2010 Jane K. Yura Vice President, Regulation and Rates Pacific Gas and Electric Company 77 Beale Street, Mail Code B10B P.O. Box San Francisco, CA Advice Letter 3601-E Subject: Notification of Executed Easement Agreement Between PG&E Company and the Marina Coast Water District Dear Ms. Yura: Advice Letter 3601-E is effective January 28, Sincerely, Julie A. Fitch, Director Energy Division

2 Brian K. Cherry Vice President Regulatory Relations 77 Beale Street, Room 1087 San Francisco, CA Mailing Address Mail Code B10C Pacific Gas and Electric Company P.O. Box San Francisco, CA Fax: January 28, 2010 Advice 3601-E (Pacific Gas and Electric Company ID U 39 E) Public Utilities Commission of the State of California Subject: Notification of Executed Easement Agreement Between Pacific Gas and Electric Company and the Marina Coast Water District Purpose In accordance with Ordering Paragraph 1 of Decision (D.) , dated December 3, 2009, Pacific Gas and Electric Company ( PG&E ) hereby submits a copy of the final executed agreement between PG&E and the Marina Coast Water District ( MCWD ) authorizing PG&E under Public Utilities Code Section 851 to convey a permanent, non-exclusive easement to Marina Coast Water District pursuant to Public Utilities Code Section 851 for the construction of the proposed recycled water pipeline, as discussed herein. Background Pursuant to Public Utilities Code Section 851, PG&E and MCWD filed Application seeking Commission authorization for PG&E to grant a permanent nonexclusive easement to MCWD for the installation, maintenance and use of a recycled water pipeline and its associated appurtenances on a small portion of PG&E s property, located at the end of Crescent Street in the City of Marina, Monterey County. This proceeding was closed on December 3, The final easement agreement (Attachment A) between PG&E and MCWD was executed on January 25, Decision included an order to notify the Commission of the completed transfer within 60 days of the date of the order. Ordering Paragraph 1 states: Pacific Gas and Electric Company is authorized pursuant to Public Utilities Code Section 851 to convey a permanent, non-exclusive

3 Advice 3601-E January 28, 2010 easement to Marina Coast Water District for the construction of the proposed recycled water pipeline on a portion of Pacific Gas and Electric Company s property, located at the end of Crescent Street in the City of Marina, Monterey County. When the final easement documents are executed, Pacific Gas and Electric Company shall submit a copy by a Tier 1 advice letter filing within sixty (60) days of this order. This advice letter will not increase any rate or charge, cause the withdrawal of service, nor conflict with any rate schedule or rule. Protest Period Anyone wishing to protest this filing may do so by sending a letter by February 17, 2010, which is 20 days from the date of this filing. The protest must state the grounds upon which it is based, including such items as financial and service impact, and should be submitted expeditiously. Protests should be mailed to: CPUC Energy Division Tariff Files, Room 4005 DMS Branch 505 Van Ness Avenue San Francisco, California Facsimile: (415) jnj@cpuc.ca.gov and mas@cpuc.ca.gov Copies of protests also should be mailed to the attention of the Director, Energy Division, Room 4004, at the address shown above. The protest also should be sent via U.S. mail (and by facsimile and electronically, if possible) to PG&E at the address shown below on the same date it is mailed or delivered to the Commission: Brian K. Cherry Vice President, Regulatory Relations Pacific Gas and Electric Company 77 Beale Street, Mail Code B10C P.O. Box San Francisco, California Facsimile: (415) PGETariffs@pge.com

4 Advice 3601-E January 28, 2010 Effective Date PG&E submits this filing as a Tier 1 in accordance with D and requests that this advice filing become effective upon filing. Notice In accordance with General Order 96-B, Section IV, a copy of this advice letter is being served electronically and via U.S. mail to parties shown on the attached GO 96-B list and service list A Address changes to the GO 96-B list should be directed to PGETariffs@pge.com. Advice letter filings can also be accessed electronically at Vice President, Regulatory Relations Attachments cc: Service Lists Advice Letter 3601-E and A

5 Advice 3601-E January 28, 2010 By Electronic Delivery: ************ SERVICE LIST Advice 3601-E********** APPENDIX A Karen Clopton Administrative Law Judge Division 505 Van Ness Avenue San Francisco, CA (415) kvc@cpuc.ca.gov Arocles Aguilar California Public Utilities Commission Legal Division 505 Van Ness Avenue San Francisco, CA aro@cpuc.ca.gov Kenneth Lewis California Public Utilities Commission Energy Division 505 Van Ness Avenue San Francisco, CA kl1@cpuc.ca.gov Diana L. Lee California Public Utilities Commission Legal Division 505 Van Ness Avenue San Francisco, CA dil@cpuc.ca.gov Steve Wilson USA Tyger Industries, Inc North Chester Blvd. Bakersfield, CA sfwilson@usatyger.com City of Marina Christine di Iorio 209 Cypress Avenue Marina, CA cdiiorio@ci.marina.ca.us County of Monterey Resource Management Agency Mr. Nick Nichols 168 W. Alisal Street, 3rd Floor Salinas, CA nicholsn@co.monterey.ca.us Joseph A. Abhulimen California Public Utilities Commission Division of Ratepayer Advocates 505 Van Ness Avenue San Francisco, CA jaa@cpuc.ca.gov Brewster Fong California Public Utilities Commission Division of Ratepayer Advocates 505 Van Ness Avenue San Francisco, CA bfs@cpuc.ca.gov Paul Clanon California Public Utilities Commission Executive Division 505 Van Ness Avenue San Francisco, CA pac@cpuc.ca.gov Pam Nataloni California Public Utilities Commission Legal Division 505 Van Ness Avenue San Francisco, CA jpn@cpuc.ca.gov City of Seaside Mr. Tim O'Halloran 440 Harcourt Ave Seaside, CA TO'Halloran@ci.seaside.ca.us City of Del Rey Oaks Mr. Dan Dawson City of Del Rey Oaks City Hall 650 Canyon Del Rey Road Del Rey Oaks, CA citymanager@delreyoaks.org By Mail: California Resources Agency 1416 Ninth Street, Suite 1311 Sacramento, CA California Environmental Protection Agency 1001 I Street Sacramento, CA U.S. Environmental Protection Agency EPA Docket Center (EPA/DC) Enforcement/Compliance Docket and Information Center (ECDIC), MC 2201T 1200 Pennsylvania Avenue, NW Washington, DC 20460

6 CALIFORNIA PUBLIC UTILITIES COMMISSION ADVICE LETTER FILING SUMMARY ENERGY UTILITY MUST BE COMPLETED BY UTILITY (Attach additional pages as needed) Company name/cpuc Utility No. Pacific Gas and Electric Company (ID U39 M) Utility type: Contact Person: Linda Tom-Martinez ELC GAS Phone #: (415) PLC HEAT WATER EXPLANATION OF UTILITY TYPE ELC = Electric GAS = Gas PLC = Pipeline HEAT = Heat WATER = Water Advice Letter (AL) #: 3601-E Tier: 1 (Date Filed/ Received Stamp by CPUC) Subject of AL: Notification of Executed Easement Agreement Between Pacific Gas and Electric Company and the Marina Coast Water District Keywords (choose from CPUC listing): Section 851 AL filing type: Monthly Quarterly Annual One-Time Other If AL filed in compliance with a Commission order, indicate relevant Decision/Resolution #: D Does AL replace a withdrawn or rejected AL? If so, identify the prior AL: No Summarize differences between the AL and the prior withdrawn or rejected AL 1 : Is AL requesting confidential treatment? If so, what information is the utility seeking confidential treatment for: Confidential information will be made available to those who have executed a nondisclosure agreement: Yes No Name(s) and contact information of the person(s) who will provide the nondisclosure agreement and access to the confidential information: Resolution Required? Yes No Requested effective date: 1/28/10 No. of tariff sheets: N/A Estimated system annual revenue effect (%): N/A Estimated system average rate effect (%): N/A When rates are affected by AL, include attachment in AL showing average rate effects on customer classes (residential, small commercial, large C/I, agricultural, lighting). Tariff schedules affected: N/A Service affected and changes proposed 1 : N/A Pending advice letters that revise the same tariff sheets: N/A Protests, dispositions, and all other correspondence regarding this AL are due no later than 20 days after the date of this filing, unless otherwise authorized by the Commission, and shall be sent to: CPUC, Energy Division Pacific Gas and Electric Company Tariff Files, Room 4005 DMS Branch 505 Van Ness Ave., San Francisco, CA jnj@cpuc.ca.gov and mas@cpuc.ca.gov Attn: Brian K. Cherry Vice President, Regulatory Relations 77 Beale Street, Mail Code B10C P.O. Box San Francisco, CA PGETariffs@pge.com

7 Advice 3601-E Attachment A Easement Agreement

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33 PG&E Gas and Electric Advice Filing List General Order 96-B, Section IV Day Carter Murphy North Coast SolarResources Alcantar & Kahl Defense Energy Support Center Northern California Power Association Ameresco Department of Water Resources Occidental Energy Marketing, Inc. Anderson & Poole Department of the Army OnGrid Solar Arizona Public Service Company Dept of General Services Praxair BART Division of Business Advisory Services R. W. Beck & Associates BP Energy Company Douglass & Liddell RCS, Inc. Barkovich & Yap, Inc. Downey & Brand Recon Research Bartle Wells Associates Duke Energy SCD Energy Solutions Boston Properties Dutcher, John SCE C & H Sugar Co. Economic Sciences Corporation SMUD CA Bldg Industry Association Ellison Schneider & Harris LLP SPURR CAISO FPL Energy Project Management, Inc. Santa Fe Jets CLECA Law Office Foster Farms Seattle City Light CSC Energy Services G. A. Krause & Assoc. Sempra Utilities California Cotton Ginners & Growers Assn GLJ Publications Sierra Pacific Power Company California Energy Commission Goodin, MacBride, Squeri, Schlotz & Silicon Valley Power Ritchie California League of Food Processors Green Power Institute Silo Energy LLC California Public Utilities Commission Hanna & Morton Southern California Edison Company Calpine Hitachi Sunshine Design Cameron McKenna International Power Technology Sutherland, Asbill & Brennan Cardinal Cogen Intestate Gas Services, Inc. Tabors Caramanis & Associates Casner, Steve Los Angeles Dept of Water & Power Tecogen, Inc. Chamberlain, Eric Luce, Forward, Hamilton & Scripps LLP Tiger Natural Gas, Inc. Chevron Company MBMC, Inc. Tioga Energy Chris, King MRW & Associates TransCanada City of Glendale Manatt Phelps Phillips Turlock Irrigation District City of Palo Alto McKenzie & Associates U S Borax, Inc. Clean Energy Fuels Merced Irrigation District United Cogen Coast Economic Consulting Mirant Utility Cost Management Commerce Energy Modesto Irrigation District Utility Specialists Commercial Energy Morgan Stanley Verizon Consumer Federation of California Morrison & Foerster Wellhead Electric Company Crossborder Energy New United Motor Mfg., Inc. Western Manufactured Housing Communities Association (WMA) Davis Wright Tremaine LLP Norris & Wong Associates emeter Corporation

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